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UNIVERSITY OF THE PHILIPPINES DILIMAN

DEPARTMENT OF GEOGRAPHY

A COMPARATIVE ANALYSIS OF THE UNITED STATES, CANADA, AND THE

PHILIPPINES TOWARDS MINING AND MINERAL RESOURCES

A TERM PAPER SUBMITTED TO


DR. MELITON JUANICO
IN PARTIAL FULFILLMENT OF THE COURSE REQUIREMENTS OF
GEOGRAPHY 155
(GEOGRAPHY OF THE NORTH AMERICA)

BY

LUKE JUSTIN AMOGUIS


IVAN BANCORO
XYZRA KYTE BOBER
APOLLO CORRAL
ANTON JAVELOSA
MARIE CLAIRE MANDAR
HANNAH ANGELICA MAKILAN

DILIMAN, QUEZON CITY


APRIL 19, 2017
TABLE OF CONTENTS

List of Figures iv

List of Tables v

Introduction 1

Geography of North America 1

Climate of North America 4

Geologic History of North America

The Anglo-American Cultural Region

Mining History in United States and Canada

Mining Issues

Mining History in the Philippines

Mining Issues

Sustainable Development in Mining

Application of Sustainable Development in Mining

United States

Canada

Philippines

Issues Regarding Sustainable Development in Mineral Resources

Other Countries & Their Usage of Non-Renewable Resources

Australia
Nauru

Brazil

On Mineral Resource Allocation

Economic Development

Environment Issues

Conflict of Interest

Specific Actions Taken to Address Issues

Conclusion

Bibliography
LIST OF FIGURES

Figure Page

1. North America 1
2. The areas included in the Anglo-American Region: United States and Canada 2
3. U.S. Mineral Commodities Summary 2017
LIST OF TABLES

Table Page

1. 2016 U.S. Import Reliance on Some Nonfuel Minerals

2. Philippine Mining Industry Statistics


INTRODUCTION

Geography of North America

North America is the third largest of the worlds continents. It covers a total area of

9,355,000 square miles (24,230,000 square km) and spans over 5,000 miles (8,000 km) between

the North Pole and Equator. Majority of its landmasses are situated between the Arctic Circle

and the Tropic of Cancer, occupying the entire northern portion of the landmass generally

referred to as the New World, the Western Hemisphere, or simply the Americas.1

Mainland North America is shaped like a rough triangle with a wide base north of

Canada and a narrow apex by the Colombia-Panama border, where the Isthmus of Panama meets

the South American Continent.

Figure 1: North America Source: North America: Continent. Digital Image. Encyclopdia Britannica, Inc.
Accessed April 10, 2017. https://www.britannica.com/place/North-America#ref469324.

1
Hoffman et al. 2017
The continent also contains several islands including Greenland (the worlds largest

island) and other offshore island groups such as the Arctic Archipelago, the West Indies, Haida

Gwaii (formerly the Queen Charlotte Islands), and the Aleutian Islands.

Its general topography consists of broad lowland plains and long mountainous zones that

form parallels in the east and west.2 The lowlands, though varied in origin, appear similar to the

naked eye. The mountainous regions, on the other hand, exhibit noticeable differences due to the

wide variation of local conditions across the continent.

Figure 2: The areas included in the Anglo-American Region: United States and Canada
Source: North America: Continent. Digital Image. Encyclopdia Britannica, Inc. Accessed March 29, 2017.
https://www.britannica.com/place/North-America.html.

North America owes much of its economic development to its natural resources,

particularly oil, gold, and a variety of other precious metals and minerals. These resources

provided Canada and the United States with the necessary materials to produce energy, build

2
The New Encyclopaedia Britannica 1992
infrastructure, and support economic growth, especially in the last 100 years.3 Moreover, these

played a major role in shaping the economy, society, politics, and culture of the region.

Climate of North America

Because majority of North America is landlocked and located in the middle latitudes, its

territories have varying climates and vegetation. The larger the mid latitude land mass, the

greater the annual temperature range at interior locations. The Northeast is drier than the

Southeast, while the Northwest is colder than the Southeast.

Understanding the climate of North America requires examining different factors

depending on location. In the East, climate is determined primarily by insolation and latitude,

while, in the West, by precipitation and topography.4

Geologic History of North America

North America contains some of the oldest rocks on Earth. Its geologic structure is built

around a stable platform of Precambrian rock called the Canadian (Laurentian) Shield. The

Canadian Shield contains the Appalachian Mountains on the southeast and the younger and taller

Cordilleras on the west. The latter occupies nearly a third of the continents land area. In between

these two mountain belts are the generally flat regions of the Great Plains in the west and the

Central Lowlands in the east.5

THE ANGLO-AMERICAN CULTURAL REGION

3
Todd, D. "REGIONAL LANDSCAPES OF THE UNITED-STATES AND CANADA, -BIRDSALL, SS,
FLORIN, JW." (1982): 135-136.
4
Scott, SL. "REGIONAL LANDSCAPES OF THE UNITED-STATES AND CANADA, -BIRDSALL, SS,
FLORIN, JW." (1981): 195-196.
5
Hoffman et al. 2017
The Anglo-American Cultural Region is a cultural entity of North America that traces its

roots to Northern Europe. These comprise most of the United States and Canada, whose primary

language is English and whose customs and folkways originate from Northern Europe.6 The

French-speaking regions of Canada are a notable exception.

The term also designates a geographical area on the North American continent distinct

from Latin, Spanish, or Ibero-America (comprising Middle and South America), which have

strong Hispanic traditions and heritage. The term Anglo has come to signify a white,

English-speaking North America culturally and traditionally distinct from Latin-America.

While the Anglo-American region (with the exception of natives) is, in many respects,

homogenous, its inhabitants originate from different regions of Northern Europe.7 Moreover,

because majority of the population are of foreign origin, Anglo-America has been aptly called a

land of immigrants.

MINING HISTORY IN THE UNITED STATES AND CANADA

Extractive activities make up a considerable portion of the North American economy.

Mining offers millions of jobs and creates billions of dollars of revenue.8 North America has

been a top-tier provider and exporter of coal, which is utilized in energy production; bauxite,

which is utilized for manufacturing aluminum; iron and copper, which are staple materials for

construction; and nickel, which is utilized to create steel. The continent is also rich in gold and

silver.

6
Anglo-America | Cultural Region, North America
7
Todd, D. "REGIONAL LANDSCAPES OF THE UNITED-STATES AND CANADA, -BIRDSALL, SS,
FLORIN, JW." (1982): 135-136
8
Society and Society 2017
Mining is an indispensable part of the North American economy, and it has been so for

hundreds of years.9 For example, gold mining play a role in the development in the U.S. states of

California and Alaska in the 19th century. Coal has remained a major industry for the U.S., and

is often associated with states near the Appalachians. Coal is a type of sedimentary rock

discovered deep underground, stemming from the remains of ancient plants. When burned, coal

is a superb source of energy and is prevalently used as fuel for electricity-generating power

plants. Coal can be mined underground or in large, open pits.

Mining Issues

Mining is a dangerous industry. Coal easily combusts. It catches fire and explodes easily.

When breathed for long periods of time, coal dust is toxic. Mines are susceptible to collapse.10

Mining accidents have influence companies and governments to pursue regulations that ensure

greater safety for miners. In 2006, as an example, a coal mine in Sago, West Virginia, exploded

that left thirteen miners trapped hundreds of meters below ground. Only one miner survived.11

The so-called Sago mine disaster prompted calls for greater communication and safety

technology to be employed at mining sites throughout North America.

Coal mining can also result to a negative impact on the environment. Mountaintop

removal mining (MTR) has erased entire mountain ecosystems in the Appalachians. Because of

this type of mining, coal waste products being stored near public land. Improper storage of these

9
Murray, Crowell. The iron ores of Lake Superior, containing some facts of interest relating to mining and
shipping of the ore and location of principal mines, with original maps of the ranges.
10.
n.d. The Bonanza Trail. Ghost towns and mining camps of the West
11
Charlton, William Hurst, 1875-. 1912. "American mine accounting: methods and forms employed by
leading mining companies, by W. H. Charlton."
waste products has put not only ecosystems in danger, but also threatened human health. In 2008,

a massive spill resulted in 1.1 billion gallons of coal slurry being released near Kingston,

Tennessee. The spill resulted to homes being destroyed and contaminated Emory and Clinch

Rivers, killing large fish populations and threatening water supplies.

MINING HISTORY IN THE PHILIPPINES

The Philippines had a long history of artisanal mining. It was not until the American

colonial rule in the first half of the 20th century the country experienced a modern mining sector.

In 1936, Commonwealth Act 137 setup a mineral tenure system.12 The government is then

imbued with exclusive ownership of mineral resources that it can grant private large-scale

mining concessions. Mining companies eventually had the upper hand over artisanal miners that

they became the main gold buyers, principal employers, and sources of credit and patronage. The

mining boom came to a top at the start of the second World War. In the decades that followed the

war, there was a dramatic increase in metal mining that led to the foundation of mining giants

such as Philex and Atlas which sprouted mining operations throughout the country during the

1950s and 1960s.13 The 1970s became the busiest for the mining industry as whole.

The influence of high gold prices led to the reopening of old dormant gold mines. By the

1980s a mix of factors triggered a major crisis in the mining sector. The global crisis of

1970s-1980s and the associated drop in mineral prices has left the capital-intensive large-scale

mining increasingly unprofitable.

12
Verbrugge, Boris. 2015. Undermining the State? Informal Mining and Trajectories of State Formation in
Eastern Mindanao, Philippines. Critical Asian Studies 47, no. 2: 177-199.
13
Verbrugge, B. (1,2). 2015. The Economic Logic of Persistent Informality: Artisanal and Small-Scale
Mining in the Southern Philippines. Development And Change 46, no. 5: 1023-1046.
Mining Issues

The severe debt crisis pressured the Marcos regime, with civil unrest, and insurgency

particularly in southern regions. Many creditors had lost faith on the country that led to an

increase in capital flight. The current government then is too busy enriching themselves with

crony businesses. In 1974, President Marcos promulgated Presidential Decree 462, which sought

cut neocolonial ties with the USA by placing a 40 per cent constitutional bar on foreign owners

which led to the shrinking of the number of foreign financial and human capital. The

Filipinization of the mining sector overlapped with a number of one-of- a-kind arrangements,

on which the Marcos regime granted loans to guarantees to selected local mining projects which

later on defaulted in their obligations. In 1981, the government increased mining taxes which

showcased how heavily regulated the mining sector is. To sum it up, an increasing number of

companies fell into the hands of corruption, mismanagement, and rising production cost.

SUSTAINABLE DEVELOPMENT IN MINING

Sustainability when it comes to minerals and its use, can be a precarious concept to

explore. Some would argue that there is no such thing as sustainable development once the

conversation diverts to the topic of mining minerals. To better concretize this, a journal entry

written by McLellan et al. gives explicit details in the mineral industry to further showcase the

different researches being conducted to achieve sustainable development. This journal entry

claims that sustainable development is a factor actively sought out by the mineral and mining

industry. It emphasizes that the concept behind how sustainable the mineral and metal industry
can be, lies not in the operation itself, but rather, in the design of the whole operation, stating that

reducing impacts of operations alone is insufficient to progress the industry towards

sustainability. Instead, opportunities for impact reduction must be sought along and between

production and recycling chains.14 Considering this, we find that efficient operations do not

always lead to sustainable development, due to the disparity of the demand and the supply of

metal use. This is why their team finds that dwelling and blaming the operation itself must be

reviewed to be critical, due to the fact that sustainability could have a huge number of factors.15

Sustainability can be approached with a various number of viewpoints. What can be

surmised from this fact is that, people view the road to sustainability in the mineral industry with

different approaches. McLellan has observed this phenomenon and narrowed it down into two

viewpoints, in which he calls it as the Fixed stock and Opportunity Cost Paradigm. In this

observation he uses ecologists and mineral economists as two individuals that view sustainability

in a different way. In this fixed stock paradigm, McLellan explains that ecologists view minerals

as a fixed stock, meaning this resource, being cultivated by mining companies, is an

irreplaceable resource. This is why he sees the actions of ecologists in order to maintain

sustainability as more inclined to limiting the extraction of these minerals and the call to loop

these minerals, or to recycle old products that use these minerals in order to lessen the demand to

extract these minerals. Meanwhile, mineral ecologists view the road to sustainability towards

these minerals as an Opportunity Cost, believing that cultivating these minerals would create a

scarcity, thus increasing the price of these minerals. Once this phenomenon happens, we can see

14
McLellan, B.C. and G.D. Corder and D. Giurco and S. Green, "Incorporating Sustainable development
in the design of mineral processing operations- Review and analysis of current approaches", Journal of
Cleaner Production 17 (2009): 1414.
15
Ibid
two predicted outcomes. First is that this would catalyze a improvement in design of technology

in cultivating minerals, which would allow the cultivation of lower grade ores, and so a lower

demand for the original mineral. Second is or of using other minerals as a substitute for the

original mineral due to its steep price, thus maintaining an ecological balance.16

This creates an interesting dilemma to some people, that view sustainability towards the

mineral industry as simply limiting the production or exploitation of these minerals. And so

going back to what we've mentioned before the design phase of an operation is extremely crucial

to maintain sustainability in an operation. The term DfS (design for sustainability) was coined

for this purpose, to serve as a background and outline once a certain operation is planning to

make their operation as sustainable as possible.

It could be defined as: design that takes into account social, economic and environmental

impacts and constraints and aims to produce the most benefit for society, whilst minimising

negative impacts and not violating any of the critical thresholds or the carrying capacity of the

society and environment, across the life cycle of the project and the product... DfS is an

important opportunity for improving SD outcomes over the life of the operation. In practice,

activities which could fall under the DfS definition have been viewed as a secondary element of

operations design, with the main focus being typically on how to design an operation that will

effectively extract the target minerals at the lowest possible capital cost and lowest risk.17

Although these are all important components in order to contribute to the reality of

sustainable development, we have to take into account government policies that in one way or

another affect the implementation of these. Government policies are extremely important in

16
Ibid 1415
17
Ibid 1416
regulating and maintaining these operations for it to be as sustainable as possible. It has been

widely accepted by economists worldwide that using the environment as a depository of many

types of wastes is beyond the control of the market system and therefore would need government

intervention.18 In the mineral industry, various types of wastes are being deposited each day to

account for their operations; Creating a standard of operation within a given industry would help

in the goal of being a sustainable operation, which is where government policy comes in.

However stringent the policy though, without a proper implementation body, these policies

would be for nought. An effect of the lack of a effective implementation force would result to a

market imperfection if the resource market, or the company heading the operation, does not

proceed from the given model the government has adhered to. This in turn could lead a weakness

to the market if, as Victor mentions the environmental effects of resource extraction are not

reflected in resource prices.19

We can use the UK as an example on how the government can affect the cause for

sustainable development. The strategy adopted by the UK for the advancement of sustainable

development, is called the ecological modernization agenda. It strategizes a greener market using

taxes, incentives and awareness to encourage technological advancement to facilitate resource

efficiency and to try to separate economic growth from environmental degradation. Their

effective implementation of this strategy enabled UK businesses to compete in the global

environment.20 Their global mark was affected by a supposed market transformation, that is part

18
Victor, Peter. "Indicators of Sustainable Development: Some Lessons From Capital Theory", Ecological
Economics (1991): 198.
19
Ibid 204
20
Seyfang, Gill and Adrian Smith, "Grassroots Innovations for Sustainable Development: Towards a New
Research and Policy Agenda", Environmental politics Volume 16, no. 4 (2007): 585-586.
of the ecological modernisation agenda. It has promoted sustainable consumption through the

innovation of sustainable choices for products and services thus encouraging other markets.21

Although sustainable development in the mineral industry can seem like it is an inclosed

situation, it actually affects a variety of people. It is a huge challenge in the mineral industry to

find ways to have a sustainable operation and so people with science backgrounds often get

recruited and hired, to help in technological advancement or strategies that could help make

mining company's operations more sustainable. Due to the nature of the mining industry, no

matter how sustainable they try to let their operations be, still causes some discomfort to the

residents living nearby the operation due to the supposed environmental degradation that mining

operations usually result in. Further, the employees of these operations must be given due

consideration when talking about the people being affected and that can affect sustainable

development in this industry. Providing mining employees with safe working conditions is a

complex situation for the mining operators which depends on how grand a scale the mining

operation is. The larger the scale, the larger the ecological footprint, thus making it increasingly

harder to achieve sustainable development in the given operation.22 Gaining even more

employees, could jeopardize their working conditions due to the sheer amount of them working

at the same time, making it more increasingly difficult for mining operators to ensure their

safety.

The complexity of the problems for the sustainable development of mining and the

resulting diversity on a global scale point at the need for the continuous exchange of experience

in the field of knowledge, methods, technologies and other solutions. They should provide a

Ibid 586
21
22
Dubinski, Jozef. "Sustainable Development of Mining Mineral Resources", Journal of Sustainable
Mining Volume 12, no.1 (2013): 5.
sustainable and socially acceptable development and continued operation of mining, invariably

needed by people, to provide necessary mineral resources.23

Application Of Sustainable Development In Mining

In order to achieve the 17 Sustainable Development Goals (SDGs) of the 2030 Agenda

for Sustainable Development, the United States entered into strategic partnerships with 193

countries and various communities around the world. Canada and the Philippines are among the

193 nations committed to end poverty and make transformative strides toward a future of shared

progress.24 Aside from being a part of the 2030 Agenda, each countrys government has also

established orders and policies in hopes of achieving sustainability of mineral resources.

UNITED STATES

The United States is the worlds largest user of mineral resources. A national report from

the United Nations states that the U.S total domestic mining and waste removal for nonfuel

mineral materials production amounted to 5.9 billion metric tons (Gt) in 2007. These materials

included 4.5 Gt of crude ore mined or quarried and 1.4 Gt of mine ore and waste from

development operations. Overall, 97% of nonfuel mineral materials was mined and quarried

using surface methods, and 3% was mined underground. Most non-fuel mining activities took

place in: Nevada, Arizona, Florida, Minnesota, Utah, California, Texas, Michigan,

Pennsylvania, and Georgia. These 10 States accounted for 63% of the tonnage removed in the

Ibid
23
24
United Nations. Transforming our world: the 2030 Agenda for Sustainable Development. UN.org,
2015. https://sustainabledevelopment.un.org/post2015/transformingourworld (accessed April 15, 2017)
production of nonfuel mineral materials mined in the United States. U.S. coal production in 2008

(most current year final statistics are available) reached a record level of 1,171.5 million short

tons, with 389.8 million short tons from the Appalachia Region, 146.7 million short tons from the

Interior Region, and 633.6 million short tons from the Western Region. In 2008, U.S. coal
25
consumption declined in every coal-consuming sector.

The mining sector of the United States has increased its focus on the sustainable mining

of its mineral resources in the 21st century because of the countrys large and active mining

industry. American institutions, public and private, work together to find innovative ways to

ensure that the extraction and processing of mineral resources are sustainable and have negligible

impacts to the environment.

Mining activities in the U.S. are regulated by various entities with states playing a key

role in oversight. The following institutions mentioned in the report all play a role in influencing

the outcomes caused by the mining sites they own or are under their jurisdiction: U.S. Army

Corps of Engineers (USACE); U.S. Department of Interiors Bureau of Land Management

(BLM), National Park Service (NPS), Office of Surface Mining (OSM), U.S. Geological Survey

(USGS); U.S. Agricultures Forest Service (USFS); U.S. Department of Labors (DOL) Mine

Safety and Health Administration (MSHA); Environmental Protection Agencys (EPA) Office of

Water and the Office of Solid Waste and Emergency Response.26

Associates of the National Mining Association (NMA) have implemented sustainable

development principles and have pledged to conduct their activities in a way that recognizes the

United Nations. Mining Overview. United Nations National Reports. (n.d.),


25

http://www.un.org/esa/dsd/dsd_aofw_ni/ni_pdfs/NationalReports/usa/mining.pdf

26
Ibid
needs and necessities of the society and the desire to have a healthy environment, economic
27
growth, national security.

CANADA

Canada remains as one of the top producers and the leading exporter of minerals and

metals in the world. The economy of Canada is being continuously affected by its mineral and

metal industries. More than 340,000 Canadians have jobs because of these industries where 150

communities in both the rural and northern regions of Canada are dependent on. Minerals and

metals are significantly important to Canada and are important to federal policies and platforms
28
because of their considerable contribution to Canadas social and economic security.

Achieving sustainable development is one of the challenges Canada wishes to overcome

so the Canadian Government proposed a policy to address this challenge --- the Minerals and

Metals Policy (MMP). In the Mining Agenda section of the policy, the Government pledged to

formulate a plan for the sustainable development of the Canadian minerals and metals sector.

The MMP represents the first attempt by the Canadian Government to integrate the notion of
29
sustainable development into an all-inclusive policy document in the area of natural resources.

Below are some of the given examples on how the policy can serve as a guide to federal

decisions on minerals and metals with regards to sustainable development as stated in the official
30
publication:

27
Ibid
28
National Resources Canada. The Minerals and Metals Policy of the Government of Canada.
Partnerships for Sustainable Development. No. M37-37 (1996): iii
29
Ibid
30
Ibid iii-iv
It sets parameters for federal decisions on minerals and metals, including a recognition

of the need for sound science, the importance of global markets, and the benefits of both

regulatory and nonregulatory approaches in pursuing environmental protection; iv

It commits the Government to continued efforts to secure international mineral

investment for Canada and notes the importance of a fiscal and tax environment that

recognizes the special challenges of the industry and its global context; and

It enunciates the Governments support of the principle of safe use of minerals and

metals and engages the Government to advance this principle both domestically and

internationally.

Environmental, social, and economic considerations must be taken into account in the

decision making process in order to achieve sustainable development. The MMP presents a

number of principles for sustainable development-based making of decisions to help the

Government meet this challenge. It includes: a responsive public policy framework; the role of

the market mechanism; the role of regulation; the role of non-regulatory approaches; the

importance of science; endorsement of the concept of pollution prevention; affirmation of the


31
precautionary principle; and recognition of the polluter pays principle.

PHILIPPINES

The Philippines is gifted with plentiful amounts of both metallic and nonmetallic mineral

resources. Currently, gold, copper, iron, chromite and nickel are the most sought after metallic

31
Ibid v
commodities. Among our non-metallic resources, sand and gravel, limestone, marble, clay and

other quarry materials are in great demand.

In 2010, the Philippines became the 3rd biggest producer of nickel ore, behind Russia and

Indonesia, hurdling over Australia and Canada. The Philippines produced about 11% of the total
32
world production of nickel, up from 10% of world production in 2009.

Section 3 of the Executive Order No. 79 series of 2012 ensures the compliance of the

members of the mining industry with environmental laws, standards, rules, and regulations. The

section accounts for the management and utilization of minerals toward sustainable development.

Reviews of the performance of existing mining operations shall be conducted by a

multi-stakeholder team headed by the DENR, which will be based on guidelines and parameters

stated in the specific mining contracts and agreements or applicable rules and regulations such as
33
the Mining Act of 1995 and the Labor Code.

The mining industry in the Philippines has recovered due to various movements and

revitalization of responsible mining. The government also recognizes the contribution, both

present and future, of the industry to the economy of the Country by attracting investments

which can result to the reduction of poverty in the rural areas.

Responsible mining is one step made by the government to achieve the sustainability of

mineral resources but challenges persist specifically on corporate accountability, voluntary

compliance among companies, and giving of due recognition to local autonomy and indigenous

peoples rights.

Kuck, Peter. Nickel. U.S. Geological Survey Mineral Commodity Summaries. (2012): 108-109
32
33
Official Gazette of the Philippines. Executive Order No. 79, s. 2012. GOV.PH,
http://www.gov.ph/2012/07/06/executive-order-no-79-s-2012 (accessed April 17, 2017)
Issues Of Sustainable Development In Mineral Resources

In the Philippines, a number of mining projects have allegedly caused environmental

degradations (i.e. pollution and destruction of water bodies), outright violation of ancestral land

rights, socio-political systems, and self-determination of indigenous peoples, systematic violation

of the rights of the mine workers, and other cultural disturbances. Many of these issues were

results of the failure of many small and large-scale mining companies to follow the strict,
34
globally-defined principles for responsible mining.

Another issue with regards to sustainable development is the inevitable depletion of

nonrenewable resources of raw materials. The inadequate enforcement of environmental laws

and policies and the absence of financing strategy for environment and natural resources also

seem to be a challenge to the goal of achieving sustainable development of minerals resources in


35
the country.

34
National Economic and Development Authority. Conservation, Protection & Rehabilitation of the Environment
& Natural Resources. Philippine Development Plan 2011-2016 Ch.10 (n.d.) 309
35
Ibid 321-322

OTHER COUNTRIES AND THEIR USAGE OF NON-RENEWABLE RESOURCES

Other countries have same practices and others have different ways of using and utilizing

their non-renewable resources and minerals. As rare as non-renewable resources come, they are

very hard to maintain as well as to sustain in some, if not, most cases. In most countries, their

economy may strongly rely in their use of their non-renewable resources. Let us look at Australia

and Nauru.

AUSTRALIA

Australia is very rich with numerous resources and minerals as it has a very large land

area. Its main non-renewable resources are oil, natural gas, coal and uranium. Oil and natural gas

are utilized mainly for a secure supply of adequate, clean and reliable energy at an affordable

price which is vital for Australias economic growth. Australia is rich in natural gas on a per

capita basis, possessing 2.0% of the worlds proven gas reserves, but only 0.3% of the worlds

population.36 Most of the natural gas used by Australia comes from the North-West coast basins

and the coal basins in East Australia and oil from the Carnarvon and Gippsland basins. Coal is

their largest commodity export. It is mainly used for electricity production. It is said to have 500

years of coal remaining. The economic demonstrated resources (EDR) of black coal are said to

be adequate for about 90 years at current rates of production. Brown coal is more abundant in the

Gippsland Basin, Victoria while black coal is mined more in Queensland and New South Wales.

Australia is known to be 1/3 of the worlds known economic resources when it comes to

36
St John, Alex. Australian Non-renewable Energy Resources. Parliament of Australia.
http://www.aph.gov.au/About_Parliament/Parliamentary_Departments/Parliamentary_Library/
pubs/BriefingBook44p/EnergyResources (accessed April 10, 2017).
uranium. All production is for export purposes. Deposits can be found in South Australia,

Northern Territory and West Australia. Australia aims for sustainable use but most of their

resources, they have already predicted how much they can exploit until these resources can no

longer sustain and help them with their economic growth.

Australias use of these non-renewable resources are heavily grounded but, from time to

time, their have been alternative practices and decisions on their usage. Significant rise in

Eastern gas prices prompted calls from consumers to ensure gas supply and calls for gas

reservation policies. The heavy use of coal in Australias energy mix is controversial, but it still

accounts for 35% of Australias primary energy consumption and provides export earnings of

more than $30 billion annually. 87% of the coal production is exported while the remaining coal

is actually for domestic use. Completed and announced closure of oil refineries will see

Australian refining capacity halved compared to 2000-2001 levels and the liquefied fuel supply

will increasingly rely on imports. As for uranium exports, moves to establish new uranium

projects are possible during the 44th Parliament, after Queensland and New South Wales relaxed

restrictions on uranium projects.

Needless to say, conflicts of interests among people like businessmen, politicians and

private owners tend to raise issues in the usage of non-renewable resources in Australia. People

calling for gas reservation policies but are prevented by political parties because they believe that

energy supply is best guaranteed by a well-functioning market. Whether the reservation policy will

have a positive or negative effect, is up to dispute. As mentioned, the controversial heavy use of

coal in Australias energy mix comes up because of its primary use for electricity production. The

industry becomes harder to replace because it has long been practised. Crude oil exports mainly to
Asian refineries. The production of crude oil, condensate and LPG declined since 2001 because of

closing Australian refineries. In 2013-14, funds were appropriated for the government to

investigate the Australias compliance with its International Energy Agency fuel stockpiling

obligations. All of Australias uranium is produced primarily for export and having a domestic

nuclear plant industry is highly unlikely in the near term, despite calls from some industry and

scientific groups in Australia. A range of geological, economic and policy factors influences the

decisions of private investors. Most importantly, in the exploration and development stages,

project profitability assessments are influenced by expectations and risks relating to, for example,

resource prospects, resource prices, technologies, input costs more generally, land access and

government policies. Government policies that are relevant to industry range from sector specific

policies such as resource taxation and approval processes, to broader policy processes such as

microeconomic reform and macroeconomic policy settings.37

A rightful solution is, of course, needed in order to ensure the proper management of

these resources. Australia may lessen the use of coal in their energy mix, but it may be hard to

find an alternative for it. They could take risks and try the reservation policy for gas in order to

see for themselves the results whether it be positive or negative. They could set a time frame for

it and observe fluctuations, if there are any, in the market. Setting aside a portion of their

uranium production for local industry usage is a wise move since it may help their own science

and research industry rather than to export all of it.

Hogan, Lindsay and Rebecca McCallum. R 2010. Non-renewable Resource Taxation In Australia.
37

ABARE Report - April 2010. Prepared for the AFTS Review Panel. ABARE-BRS. Canberra. October.
NAURU

Guano phosphate mining has stripped bear the nation and it faced an economic crisis.

Inch for inch, Nauru is the most environmentally ravaged nation on earth. So much of the island

has been devoured by strip-mining which began 90 years ago that Nauruans face the prospect

that they may have to abandon their bleak, depleted home.

When European sailors first caught sight of Nauru in the 18th century, they were so

enchanted by its luxuriant tropical vegetation that they called it Pleasant Island. Today, the name

is a bitter joke. After generations of mining, the environmental devastation of Nauru is nearly

total. Four-fifths of the island has been mined out, leaving behind a pitted, ghostly moonscape of

gray limestone pinnacles, some as tall as 75 feet. The only habitable land is a narrow coastal

fringe shaded by coconut palms.38

The Europeans soon discovered phosphate deposits and the tiny island became a strip

mine, exploited by foreign colonial powers. After it gained its independence in 1968, mining

intensified until most of the phosphate had been stripped and the islands economy went south.

In the process of mining phosphate to fertilize fields in faraway places, the country had rendered

its own landscape infertile. Today, the island is a barren wasteland with jagged limestone

pinnacles that cover 80% of the island. The land and economy werent the only things ravaged.

The Nauruans are among the most sick and obese people in the world, racked by diabetes and

high blood pressure. Few people live past the age of 60 years. Before independence, there was a

culture of fishing and gardening among the Nauruans and they ate fresh fish, fruits, and

vegetables grown on land. With the easy income from phosphate, the people stopped farming

Shenon, Philip. A Pacific Nation Island Is Stripped Of Everything, The New York Times, December 10,
38

1995, http://www.nytimes.com/1995/12/10/world/a-pacific-island-nation-is-stripped-of-everything.html
and began importing canned and frozen food. As a result, Nauru has the highest rates of obesity

and diabetes in the world. 94% of its residents are overweight while 72% of them are obese.

More than 40% of the population has type 2 diabetes, as well as other significant dietary-related

problems such as kidney disease and heart disease.39

The Germans began mining phosphate in 1907. In World War I, the Australians seized

Nauru and, apart from the Japanese occupation of the island in World War II, controlled it until

independence in 1968. In 1989 Nauru filed suit against Australia in the International Court of

Justice, asking that it pay for the rehabilitation of one-third of the island, the area destroyed by

mining during the colonial era. Two years ago Australia settled the suit for about $75 million.

The Nauruans plan to use the money to knock down hundreds of thousands of the lifeless coral

pinnacles, and then to lay down topsoil in hopes of coaxing pandanus, mango and breadfruit

trees to grow again. Environmentalists say it is unlikely that the land will ever produce enough

food to feed the population. The other option is to uproot the population and move to another

island. In the 1960's the Australians offered an island off the coast of the Australian state of

Queensland, but Nauru's leaders rejected the proposal because they would not have been given

complete sovereignty. Many Nauruans say their situation today is so hopeless that they must now

reconsider a move, possibly even to buy a new island home from one of Nauru's Pacific

neighbors.

Anonymous. Nauru: An Island Country Destroyed By Phosphate Mining.


39

http://www.amusingplanet.com/2015/06/nauru-island-country-destroyed-by.html (accessed April 10, 2017)


BRAZIL

Brazil is one of the worlds major producers of metals such as iron, gold, tantalum,

columbium, aluminum, and tin40. The growth of Brazils mining sector has helped improve the

countrys economy and make its presence known in the international market, bringing in foreign

direct investments alongside Russia, China, and India. The mining industry contributes at about

4% to the countrys annual gross domestic product (GDP), which is around 100 billion US

dollars.41 The country even leads in the production of mineral commodities globally. Brazil ranks

sixth in mining production worldwide and is a significant producer of bauxite. It is the largest

exporter of iron ore in the world and is also a growing producer of copper and nickel. In 2010,

Brazil traded almost 80 mineral commodities and globally stood out as a leading mineral

producer: currently, the country produces 70 mineral commodities including four fuels, 45

industrial minerals, and 21 metals. Brazils three main mineral export commodities are iron ore,

aluminum, and gold42. According to a research conducted by SNL Metals & Mining in 2013, the

states mining sector ranks tenth worldwide in exploration activities. However, in spite of its

geological potential, Brazil is not competitive in terms of attracting investments for exploration

and significant drills43.

Brazils regulatory regime is particularly complex, with certain jurisdictions distributed

among different sectors of the government. At a federal level, the three key government agencies

40
Incio de Medeiros Delgado, Augusto Pedreira and Charles Thorman, "Geology And Mineral
Resources Of Brazil", International Geology Review 36, no. 6 (1994), 85.
41
Carlos Jr. Nogueira Da Costa, "Brazilian Policies For The Mining Sector", 2014.
42
Will Soutter, "Brazil: Mining, Minerals And Fuel Resources", Azomining.Com, last modified 2012,
accessed April 15, 2017, http://www.azomining.com/Article.aspx?ArticleID=51.
43
Instituto Brasileirio De Minerao (IBRAM), Overview Of Brazilian Mineral Sector, 1st Meeting MCTI
and IBRAM on International Cooperation with Brazil on Mineral Resources and Disclosure 24th World
Mining Congress (WMC 2016) (Brasilia, 2015), accessed April 15, 2017,
http://www.ibram.org.br/sites/1300/1382/00005617.pdf.
responsible for Brazils mining industry are the Ministry of Mines and Energy, DNPM and

CPRM. The Mining Code of 1967 governs all aspects of the mineral industry, from exploration

to production and use of mineral resources, and establishes the rights and duties of the holders of

mining rights.44

Environmental sustainability is of great importance to the way industrial activity is

conducted in Brazil. Environmental regulations in Brazil vary between state authorities, thus can

be confusing and make application procedures more prone to duplication. Along with other

regulatory problems, the countrys government have been pushing for regulatory changes since

2009. Some of which include a 20-year national plan of geology and mining and mineral

processing (which covers 2010 to 2030), the creation of a National Council of Mineral Policy

that will update the Mining Code, and many others. The overall consensus is Brazils new

regulatory regime will simplify applications and licensing processes, thus helping to render

Brazil a more interesting investment proposition for international firms.

Under the new regulatory regime, a number of proposed measures also aim to mitigate

the negative impacts created by speculation in the mining market. Additionally, exploration

permits will be limited to a maximum, non-renewable period of five years. Permit holders that

have not conducted surveys within this period will forfeit their rights to the respective prospects.

In an effort to improve Brazils social and environmental performance, adjustments such as

holding public hearings for major projects to engage communities and placing discretionary

limits on the sizes of particular areas that allocated to one company. Lastly, a mandatory

44
Yadira Soto-Viruet, The Mineral Industry Of Brazil (U.S. Geological Survey, 2013).
transitional period will be incorporated within the proposed changes in order to ensure that all

companies are provided with a suitable amount of time to adjust to the new regime.45

ON MINERAL RESOURCE ALLOCATION

Economic Development

Minerals are both extremely essential for the people and the economy of a country in

general. Extraction, processing and usage of mineral resources play a significant role in the

growth of a countrys economy at the same time in the wellness, status and daily living of the

people. Processed materials from minerals take a large part in the everyday lives of the people,

from food, clothing, furnitures, appliances and computers up to businesses, energy resources and

large construction materials. The increased availability and amount of mineral-based products

elevates ones standard of living, apparently stressing that mineral resources availability could

determine and measure the wealth of a society46. Although not generally true especially for poor

countries, societies who have been successful and efficient in extracting, processing and using

minerals especially in economic theaters such as through exportation and importation have

significantly grown and developed.

As reported in the U.S. Mineral Commodities Summary 2017 shown in Figure 3, almost

four percent of the U.S. gross domestic product was attributed to the annual value of processed

mineral materials amounting to $675 billion.47

45
E&MJ News, "Brazil Mining", E-Mj.Com, last modified 2011, accessed April 18, 2017,
http://www.e-mj.com/features/850-brazil-mining.html?showall=1#.WPYkL0V97IV.
46
Edward A. Keller, Introduction to Environmental Geology (New Jersey: Prentice Hall, 2008), 444-445
47
Mineral Commodities Summarries 2017 (U.S. Geological Survey 2017)
https://minerals.usgs.gov/minerals/pubs/mcs/2017/mcs2017.pdf
Figure 3: U.S. Mineral Commodities Summary 2017.
Source: Mineral Commodities Summarries 2017 (U.S. Geological Survey 2017)
https://minerals.usgs.gov/minerals/pubs/mcs/2017/mcs2017.pdf (Accessed on April 10, 2017)

Although the United States imports processed mineral materials e.g. metals and

chemicals from countries such as China, the total net imports summed up as $31 billion only

reaches nearly five percent of the mentioned amount of the domestically processed mineral

products, which resources come from the locally mined and reclaimed minerals (both raw and

processed), as well as imported raw mineral materials. This data could well emphasize the

significance of mining, in general, to the growth of economy accompanied of course by efficient

management, abundance of mineral resources and necessary industries such as mineral

processing and manufacturing firms.


On the other hand, the U.S. Import Reliance report shows the import dependency of the United

States on foreign states for certain minerals (Table 1). This does not mean that the imported

minerals does not exist in justifiable quantities necessary to be mined. Rather, it states that there

could be better reasons that regard importing minerals as more practical option, either political,

environmental or economic reasons such as to meet and provide ample supply the mineral

demand of industries.

Table 1: 2016 U.S. Import Reliance on Some Nonfuel Minerals


Source: Mineral Industry Statistics 2017. (U.S. Geological Survey 2017)
http://www.mgb.gov.ph/attachments/article/162/MIS(2015)%20(1)%20(1).pdf (Accessed on April 10,
2017)
The Philippines, meanwhile, lies above approximately $1.4 trillion worth of mineral reserves.

Entitled as one of the largest gold reserves in the world,it leads the world as fourth in copper

reserves and fifth in nickel. In the Mining Industry Statistics report (Table 2), Mines and

Geosciences Bureau (MGB) expressed that the minings contribution to the countrys Gross

National Product (GNP) has slightly increased in 2016, totalling to P84.9 billion, while

maintaining a constant part of 0.6 percent in the Gross Domestic Product (GDP) for two

consecutive years.48

Table 2: Philippine Mining Industry Statistics.


Source: Mines & Geosciences Bureau. 2016.
http://www.mgb.gov.ph/attachments/article/162/MIS(2015)%20(1)%20(1).pdf (Accessed on April 10,
2017)

Mineral Industry Statistics 2017


48

http://www.mgb.gov.ph/attachments/article/162/MIS(2015)%20(1)%20(1).pdf (accessed on April 10,


2017)
However, the bureau noted that the total Gross Production Value in Mining have plummeted to

P100.6 billion in 2016 from P 179.7 billion in 2015. It also recorded a significant drop in the

total mineral and mineral products exports sliding to $1,686 million in 2016 or about 40 percent

down from 2015, and a less serious decline in the collected taxes and fees in 2015, summing to

P29,575.9 million since the last years data is still unavailable. Although the mining industry

seemed to stand only on a small portion in the countrys economy, it should be noted that its

importance lies heavily in the goods it produces and the services it may provide. However, the

fact that the Philippines highly depends on the cheap importation of its raw minerals due to

absence or insufficiency of manufacturing and processing industries, which is then exported back

as processed materials at a higher price, proves that the countrys mining sector is at a drawback

as compared to strong economies like U.S. that are effective in utilizing the sectors resources

and services. Currently, the Philippines has plans to ban the exports of unprocessed minerals as

part of the initiative to revive its steel and iron industry, although this will greatly affect the

status of the country as among the top exporters of raw minerals particularly nickel.49

In Canada, $24.6 billion of the $56 billion contribution of the mining sector to the

countrys gross domestic product (standing at 3.4%) came from mineral extraction, while the

remaining $30.9 billion from mineral manufacturing and processing. In global arena, Canada is

among the foremost mining countries and largest sources of minerals and metals. The sector

recorded a value of 19% of the Canadian exports in 2015, accounting up to $17.6 billion from

the exports of aluminum, copper, iron and steel, iron ore, nickel, silver and gold. This is aside

hilippine Star: Global. March 4,


Lawrence Agcaoilli. Phl may stop exports of unprocessed minerals. P
49

2017.
http://www.philstar.com:8080/business/2017/03/04/1677631/phl-may-stop-exports-unprocessed-minerals
from the fact that mining industry have provided work most especially to the Aboriginal people50

Environment Issues

The issue of environmental degradation was perhaps the major focal point of the critiques

regarding the mining industry. In the recent years, the Philippines have encountered numerous

serious environmental accidents due mostly to mining malpractice. In 1996, the Marcopper

Mining Corporation have led the country in one of its biggest mining disasters as its open pits

drainage tunnels ruptured and spilled two to three millions of tons of mine waste through Boac

River in Marinduque, flooding and burying the villages that affected almost 20,000 people and

annihilated the marine and agricultural life in the river and surrounding areas.51 In 2015, at least

five miners were killed by a landslide in the Semirara coal mine in Antique, two years after the

coal mine collapse incident happened in the same area leaving five miners dead, three others

rescued and five remaining missing.52 On the other hand, the large-scale mining in Homonhon

and Cagayan have disrupted the ecological and natural heritage of the land aside from also

affecting the livelihood of the residents.53 In Zambales, mining activities have led to first,

conversion of forested mountains into deserted flatlands54; second, mud-colored waste flow in

50
Brendan Marshall. Facts & Figures of Canadian Mining Industry 2016. (Mining Association of Canada.
(Mining Association of Canada (MAC))
http://mining.ca/sites/default/files/documents/Facts-and-Figures-2016.pdf
51
Look Back: The 1996 Marcopper Mining Disaster Rappler. March 24, 2017
http://www.rappler.com/move-ph/issues/disasters/165051-look-back-1996-marcopper-mining-disaster
52
Gian Geronimo. Five miners killed, five missing as Semirara coal mine GMA News Online. February
14,2013.http://www.gmanetwork.com/news/story/294880/news/regions/five-miners-killed-five-missing-as-
semirara-coal-mine-collapses
53
GMA News TV Investigative Documentaries March 20, 2014.
https://www.youtube.com/watch?v=3MibO4J1yh0
54
Pagmimina sa Zambales, sisiyasatin sa 'Investigative Documentaries G MA News Online. July 24,
2014. http://www.gmanetwork.com/news/story/371565
the two major rivers in the province, killing the milkfish livelihood of the people55; third, rising

of leukemia and skin irritation cases due to nickel mines56; and lastly, degradation of the strength

and quality of the land due to over-extraction and continuing activities despite the cease and

desist order issued by the MGB to the black sand mining companies, even leading to other
57
problems such as unfair compensation with the affected residents like Aetas . These are in spite

of the existing laws and programs of the government regarding mining such as the
58
Environmental Protection and Management, Mining Act, and Mining Forest Program .

In United States meanwhile, good practices of responsible mining were noted, although

mining issues have also been a serious challenge in the country. As example, a mine in Colorado

was transformed into a golf course from being an open-pit mine for 100 years and a site of waste

disposal.59 The same success happened in the Ruby Hill Mine in Nevada after converting an

open-pit gold mine into a sustainable land through revegetation and consideration of local fauna
60
. These are amidst the mining pollution in the Bunker Hill mine in Idaho due to contamination

of toxic metals mixed with minerals and other materials61 and the mountain top removal mining

in the Appalachian Mountains.62

In Canada on the other hand, extensive mining in British Columbia, which has been a

major focus due to rich mineral deposits, have led to deforestation through extreme infestation of

55
Ibid
56
Sta. Cruz, Zambales residents: Nickel mine causes leukemia, skin irritation GMA News Online.
August 4, 2014.http://www.gmanetwork.com/news/video/213252/
57
Reporter's Notebook: Black sand mining in Zambales continues despite cease and desist order.
https://www.youtube.com/watch?v=o0wGCG3TfBI
58
Mines and Geosciences Bureau September 2016 Report.
http://www.mgb.gov.ph/images/homepage-images/mining-facts-and-figures-updated-January-2017.pdf
59
Edward A. Keller, Introduction to Environmental Geology (New Jersey: Prentice Hall, 2008), 444-445
60
Pollution Issues. Li Na>Mining. http://www.pollutionissues.com/Li-Na/Mining.html
61
Ibid
62
Murray Gray, Geodiversity: Valuing and Conserving Abiotic Nature (UK: John Wiley & Sons, 2013), 156
pine tree beetles for easier remote sensing detection of resources under the forest floor.63 Mining

industry have also yielded to creation of polluted and contaminated soil and water due to acidic

and chemical-filled mine waste water from drainages,64 as well as acidic precipitation directly

from refineries and mines in Quebec, Ontario and Manitoba65 and abandoned open-pit mines

across the country that still leak wastes in the nearby lakes and rivers.66

Conflict of Interest

The extractive nature of mining inevitably pits economic interests (often backed by states

and powerful multinational corporations) against the environment and, consequently, societies

within the vicinity and periphery of mine areas. Switzer (2001) posits that mining can lead to

conflict over the control of resources and resource territories, environmental impacts,

benefit-sharing and decision-making, and the means to gain access to resources and manpower.67

In the same vein, mining operations may be used to finance conflict but may also become a

target for conflicts as well.

Local communities existing within or close to mining operations often bear the brunt of

the effects of exploration and extraction, many of them suffering massive dislocation, human

63
Carrier Sekani Tribal Council. Current Issues>Mining.
http://www.carriersekani.ca/current-issues/mining/
64
Government of Canada. Environment and Climate Change Canada>Mining.
https://www.ec.gc.ca/pollution/default.asp?lang=En&n=C6A98427-1
65
Canadas Mining Industry.
http://www.dpcdsb.org/NR/rdonlyres/2FA3A27F-0E8C-42AF-A11E-7BA78ECAD9BD/17065/canadasmini
ngindustry.PDF
66
ibid.
67
Switzer J. 2001. Armed conflict and natural resources: the cases of the minerals sector. MMSD Work.
Report No. 12. http://www. iied.org/mmsd/mmsd_pdfs/jason_switzer.pdf
rights violations, and a host of other negative impacts. That these communities are minorities

and/or frontier societies only aggravates an already precarious situation.68

Mining, as an industry, gains a lot of notoriety for the disparity it creates. The tug-of-war

of resources can give birth to human rights violations and abuses, political conflict, delayed

development, and poverty. In fact, ore-exporting and resource-rich countries have been found to

perform worse than small resource-poor in terms of GDP/capita per annum. Thus, the notion that

mineral resources lead to progress and development is one with little precedent or basis.

Today, in Canada and the United States, thousands of Native Americans are being

displaced due to the mining of oil and the construction of oil pipelines69. In particular, the

construction of the Alberta Pipeline by Energy East and the Dakota Pipeline by Energy Transfer

Partners. These pipelines, while necessary for providing affordable fuel and energy to both

Canada and the US, pose a major threat to surrounding rivers and ecosystems that are essential

for the hunting, gathering, and agricultural lifestyles of Native Americans. This conflict has led

to protests and violent police encounters.

At the moment, Canadas oil pipelines are already operating at maximum capacity. The

construction of the Alberta pipeline is expected to increase Canadas capacity to transport oil

both to their citizens and export markets (notably, to the US). The pipeline will traverse the

entire length of Canada (the longest in the Americas) and is expected to cost $15.7 billion. It is

expected to increase Canadian oil production from 2 million barrels of oil a day going to change

to 4 million by 2022. However, the construction of the pipeline will almost inevitably result in

68
Ballard, Chris, and Glenn Banks. "Resource Wars: The Anthropology of Mining." Annual Review of
Anthropology 32, no. 1 (2003): 287-313. doi:10.1146/annurev.anthro.32.061002.093116.
69
http://fusion.net/the-standoff-that-never-ended-1794041575
the displacement and alienation of Mohawk communities of Kahnawake and Akwesasne in the

area.

ACTIONS AND RECOMMENDATIONS

In mining, the balance of power is almost unavoidably skewed towards corporations and

states with significant clout and capital. This is exacerbated by the growing need for metals, oil,

and natural gas around the world.

However, with NGOs and international bodies like Amnesty International coming into

the picture, rights of indigenous communities and laws protecting the environment are growing

in importance. Because of this, the mining industry is moving (albeit slowly) towards a paradigm

of increased sustainability and holistic development.

As mining is a multifarious discipline with wide-reaching effects, there is a growing need

to involve all stakeholders in important decision-making processes. States, mining corporations,

and locals should work with each other to pave the way for development that considers the

environment, individual and collective human rights, economic development, and sustainable

policymaking.

In the US, the Sioux Rock Tribe, through protests and demonstrations, were able to

successfully resist the construction of the $3.8 billion Dakota Pipeline by the Dallas-based
Energy Transfer Partners. Although negotiation for rerouting the pipeline are currently

underway, this has not met any concrete action.

The Philippines faces a similar predicament. Indigenous peoples, most notably those

from the Cordilleras and far-flung regions in the Mindanao island are being displaced due to gold

and copper mining. Although Philippine mining laws are some of the strictest in the world,

institutional weaknesses and corruption prevent these laws from being enforced.

CONCLUSION

The continent of North America is richly endowed with natural resources, including great

mineral wealth, vast forests, immense quantities of fresh water, and some of the worlds most

fertile soils. These have allowed North America to become one of the most economically

developed regions in the world, and its inhabitants enjoy a high standard of living. North

America has the highest average income per person of any continent and an average food intake

per person that is significantly greater than that of other continents. Although it is home to less

than 10 percent of the worlds population, its per capita consumption of energy is almost four

times as great as the world average.

Philippines, a developing country,

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